Question

Required information [The following information applies to the questions displayed below.) Trey Monson starts a merchandising business on December 1 and enters into the following three inventory purchases. Monson uses a periodic inventory system. Also, on December 15, Monson sells 28 units for $25 each. Purchases on December 7 Purchases on December 14 Purchases on December 21 18 units e $10.00 cost 35 units @ $15.00 cost 28 units @ $18.00 cost Determine the costs assigned to ending inventory when costs are assigned based on the weighted average method. (Amounts to be deducted should be indicated with a minus sign. Round cost per units to 2 decimals.) Periodic Weighted Average Inventory on hand Cost of Goods Sold Cost per Inventory of units Avg. Cost per Cost of # of units unit Value sold unit Goods Sold $ 0 0 0 Purchase - December 7 Purchase - December 14 Purchase - December 21 Available for Sale December Sales Total 0 $ 0 0 $ 0

Answer 1

Periods Weighted Average	Inventory	On	Hand	Cost	of Goods	Sold
Particulars	No.of Units	Cost per Unit	Inventory Value	No. of Units	Avg. Cost per unit	Cost of Goods Sold
Purchase- December 7	18	10	180
Purchase- December 14	35	15	525
Purchase- December 21	28	18	504
Available for Sale	81	14.93	1,209
December Sales	28	14.93	- 417.93	28	14.93	417.93
Total	53	14.93	791.07	28	14.93	417.93

Notes

Average Cost per Unit = Available for Sale / 81 Units

Average Cost per Unit = 1,209 / 81

Average Cost per Unit = $ 14.93

Inventory Value = No. of Units * Cost per Unit

Cost of Goods Sold = Average Cost per Unit " No. of Units Sold